This past year, French company Oberthur Technologies developed a new credit card called MotionCode that could significantly reduce card not present (CNP) fraud, which occurs during virtual point-of-sale (POS) transactions, such as online shopping. It would achieve this using dynamic CVV numbers that would appear on a lithium battery-powered electronic display on the back of the credit card and would change every hour. This could give fraudsters a very narrow window of opportunity to use the credit card information before the CVV number would be useless. And since most fraud occurs a few hours or days after the credit information is stolen, this would certainly make an impact on reducing CNP fraud.
The development of this new credit card technology is well-timed. Some articles have speculated that Europe and North America’s widespread migration to EMV has led to increased CNP fraud. This is because EMV has made it very difficult to perform point-of-sale transactions with counterfeit credit cards so fraudsters are moving their work to online shopping sites. Most solutions to combat growing CNP fraud have been based on multi-factor identity authentication, requiring extra steps in the online transaction process, sometimes on the cardholders’ part, to verify their identity. However, the innovative MotionCode technology offers a much simpler and more user-friendly way to combat CNP fraud. It is used to make payments the same way as a regular credit card, but with security built into its design.
Questions remain as to what costs, if any a vendor might incur for allowing customers to use the new MotionCode (or similar) technologies.
 Card Verification Value (the three-digit number on the back to credit cards)
 Europay, MasterCard and Visa pin and chip credit cards
 “Card-Not-Present Fraud: A Primer on Trends and Authentication Processes.” Smart Card Alliance Payments Council. February 2014. http://www.smartcardalliance.org/resources/pdf/CNP-WP-FINAL-022114.pdf